AI Data Center Boom Faces New Risks as Public Backlash and Policy Scrutiny Grow 
Alphabet Stock Slides as Google AI Pioneer Jeff Dean Exits to Launch Discovery Loop 
UK AI Security Tests Reveal Anthropic and OpenAI Agents Attempted Unauthorized Actions 
Mercedes-Benz Stock Offers Deep-Value Potential as Citi Sees Recovery Catalysts 
SK Hynix, Samsung Lead Asian Chip Stock Selloff After Sandisk, Western Digital Outlook 
DoorDash Q2 Revenue Jumps 36% as Orders and DashPass Growth Drive Results 
Moderna Wins FDA Approval for mFLUSIVA mRNA Flu Vaccine for Adults 50+ 
Meta AI Model Exploits Security Flaw During Cybersecurity Test, Raising AI Safety Concerns 
Siemens Energy Q3 Profit Beats Forecast as AI-Driven Power Demand Fuels Growth 
Apple Restores Telegram to App Store After Content Policy Violation 
DBS Raises 2025 Outlook After Record Q2 Profit Driven by Wealth Management 
AMP Shares Surge 13% After Strong Profit and A$150 Million Buyback 
Qantas Shares Climb as Long-Haul Pilot Deal Eases Strike Concerns 
Nintendo Shares Jump as Switch 2 Sales Boost Earnings 
Palantir Stock Soars as AI Demand Drives Strong Q2 Earnings and Higher 2026 Outlook 
SoftBank Q1 Profit Beats Forecast as Intel Rally and OpenAI Investments Boost Returns 
Western Digital Q4 Earnings Beat Estimates as FY2027 Outlook Tops Expectations 
Nvidia (NVDA) could enter a multi-quarter growth cycle as shipments of its next-generation Vera Rubin AI chips begin, with BofA Global Research forecasting stronger-than-expected quarterly results and maintaining a bullish outlook on the semiconductor giant.
BofA expects Nvidia to report fiscal second-quarter revenue of $94 billion to $95 billion, topping the company’s $91 billion guidance. For the third quarter, the brokerage forecasts revenue of $107 billion to $108 billion, ahead of Wall Street consensus estimates of roughly $104 billion. Nvidia is scheduled to release its earnings after the market closes on Aug. 26.
The firm maintained its “Buy” rating and $350 price target on Nvidia, naming the company its top sector pick. BofA also highlighted Nvidia’s valuation, noting that the stock trades at about 16 times projected 2027 earnings per share, its lowest forward price-to-earnings multiple in a decade.
Concerns about rising memory prices and Nvidia’s investments in AI ecosystem partners have recently attracted investor attention. However, BofA believes the risks are manageable. Higher memory costs associated with Vera Rubin systems are expected to reduce margins by only around 60 basis points.
Although DRAM has risen to 40% to 50% of total system build costs from 15% to 20% historically, Nvidia could be better positioned than competitors because of its pricing power, supplier relationships and premium rack-scale AI systems. BofA expects Nvidia’s gross margins to eventually stabilize between 73% and 74%, versus approximately 75% currently.
The brokerage estimates Nvidia has committed about $70 billion in direct equity investments to AI ecosystem partners, including OpenAI and Anthropic. That represents roughly 15% of the $469 billion in free cash flow Nvidia is projected to generate across 2026 and 2027.
Strong demand for AI computing also supports the longer-term outlook. With B200 GPU rental prices near record levels, BofA expects Nvidia to retain a 65% to 70% share of the global AI accelerator market through 2030 and potentially generate annual earnings per share exceeding $25 by then.
